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Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

 
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Accepted Solutions
Hal_Al
Level 15

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

The child tax credit  (CTC) is  limited to your tax liability. The CTC is a non-refundable credit and can only reduce your income tax to 0, It can not help you beyond eliminating your tax liability. But, if you have more than $3000 of earned income, some or all of it is usually given back to you thru the "Additional Child tax credit". That is, part of the CTC may be on line 43 of form 1040A instead of line 35 (lines 67 & 52 of form 1040).    In the on-line version of TT,  the  main Form 1040, 1040A or 1040EZ can be seen through Tools, View Tax Summary, Preview My 1040 or  go to Print Center and then choose to Preview. The ACTC is calculated on form 8812; that form is not viewable in the online version of TT until you have paid for your return. But, the ACTC is basically 15% of your earned income over $3000.

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6 Replies
Carl
Level 15

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

DId one of the kids turn 17 in 2017? If so, you no longer get the credit for them.

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

Or is your income lower?
**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
Coleen3
Intuit Alumni

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

Did you earn more money and a portion of it is one line 67 as a refundable credit?

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

Ive made less then last year but made over $13,000+ in earned income this year and all 3 of my kids are under 7yrs old.
Hal_Al
Level 15

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

See the answer below. $13,000 of earned income will get you $1500 of (additional) child tax credit (13,000 -3000 = 10,000. 10,000 x 15% = 1500).
$1622 would be the amount of ACTC for $13, 813 of earned income. You don't get $3000.
Hal_Al
Level 15

Is there an error I'm doing if in 2016 I got $3000 tax credit on my 3 kids and this year 2017 it shows my child tax credit is $1622 on my 3 kids?

The child tax credit  (CTC) is  limited to your tax liability. The CTC is a non-refundable credit and can only reduce your income tax to 0, It can not help you beyond eliminating your tax liability. But, if you have more than $3000 of earned income, some or all of it is usually given back to you thru the "Additional Child tax credit". That is, part of the CTC may be on line 43 of form 1040A instead of line 35 (lines 67 & 52 of form 1040).    In the on-line version of TT,  the  main Form 1040, 1040A or 1040EZ can be seen through Tools, View Tax Summary, Preview My 1040 or  go to Print Center and then choose to Preview. The ACTC is calculated on form 8812; that form is not viewable in the online version of TT until you have paid for your return. But, the ACTC is basically 15% of your earned income over $3000.

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